Mark Marek was arrested just outside Edmonton last week for allegedly breaching his original bail conditions. They include not using the Internet or having a cellphone.
A judge ruled Thursday that Marek be released again on a $500 cash bond.
The 38-year-old was picked up at a gas station last Friday after police received a tip that led them to an Edmonton-area storage facility.
Marek has pleaded not guilty to a corrupting morals charge for allegedly posting a video from Magnotta while knowing it depicted a real killing.
The video allegedly showed the slaying and dismemberment of Chinese university student Jun Lin in Montreal.
Magnotta is to go to trial in September 2014.
Marek's lawyer spoke outside court Thursday about the challenges her client faces.
"What the court has done effectively is taken away Mr. Marek's ability to earn a living," said Laurie Wood. "His living the past 13 years has been via the Internet. He has an obligation now not to go on the Internet. He has no cellphone.
"It's going to be very difficult in today's environment to be able to find proper accommodation without having the means in order to do it."
She also spoke about the corrupting morals charge against her client.
"Having reviewed the scant amount of disclosure I have at this time, it's our opinion that Mr. Marek is not guilty and this matter will be proceeding to a trial, likely judge and jury trial," Wood said.
Marek is due back before a judge Sept. 12.
At Marek's original bail hearing, the Crown opposed his release, pointing out he had no Edmonton address and had made it clear to police that he planned to go back to his native Slovakia. Police had said he had been living out of his car since he returned to the city.
The defence said Marek had planned to visit family in the eastern European country in September, but didn't intend to run away from his legal problems.
Marek told the judge that officers had already seized his passport.
(CHED, The Canadian Press)
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